RIDC Receives $15M Funding for Large-Scale Developments
- Feb 08, 2012
The Regional Industrial Development Corp. of Southwestern Pennsylvania (RIDC) has been offered grants and low interest loans totaling up to $15 million for the development of large-scale regional projects.
The funding was recently approved by the Commonwealth Financing Authority through the “Business in Our Sites” and “PennWorks” programs. Don Smith, president of RIDC, a downtown-based nonprofit development firm, commented that the funding is extensive, and that it will allow RIDC to push through with their developments.
The largest sum allocated, about $8 million, came from a BIOS loan for the 2.8 million square foot former Sony Plant in Westmoreland County. With the help of the funding, the RIDC will reposition the Sony plant as a multi-tenant property. Don explained that the process of repositioning the plant is complex, but, upon completion, and with the help of the incentives, they would be able to attract manufacturing companies through a market-rate redevelopment. While the estimated cost of the project is $50 million, the company will use the $8 million incentive to reposition about one million square feet of space.
According to the Pittsburgh Business Times, the state also granted $5 million for the development of the former LTV site in Hazelwood. The amount consists of a $3 million “PennWorks” grant to the city of Pittsburgh and a $2 million loan to ALMONO, the entity that owns the site. Throughout the redevelopment process, ALMONO will be represented by RIDC.
ALMONO, through a $10 million two-year investment, plans to improve Hazelwood’s infrastructure by creating roads and by adding water, sewer, power and gas lines. This process will ultimately enable the creation of pad sites which will enable future developments.